Petronas Gas reported a revenue decline by 0.9% or RM14.5 million to RM1.55 billion for the current quarter against the RM1.56 billion it recorded in Q3 2022, the group said the lower revenue was from Regasification and Gas Transportation segments following lower approved regasification and transportation tariffs under RP2 was offset by higher revenue from Utilities and Gas Processing segments on the back of higher product prices and higher performance incentive respectively.
Gross profit decreased by 9.7% or RM62.4 million in tandem with lower revenue coupled with higher operating expenses mainly attributable to depreciation expense in line with higher capital expenditure. PBT was comparable at RM594.5 million while profit for the quarter increased by 10.8% or RM47.9 million due to lower tax expenses. The corresponding quarter tax expense was higher as a result of the imposition of Prosperity Tax for the year of assessment 2022
For the 9 months, group revenue stood at RM4.86 billion, an increase of 7.4% or RM335.3 million mainly contributed by higher revenue from the Utilities segment in line with higher product prices. Gross profit, however, declined by 5.3% or RM99.1 million as a result of lower contributions from the Gas Transportation, Gas Processing, and Regasification segments due to higher operating expenses, mainly internal gas consumption and depreciation expenses coupled with lower revenue due to lower transportation and regasification tariffs under RP2.
These were cushioned by higher contributions from utility segment in tandem with higher revenue as well as stronger margin following the upward revision of the ICPT surcharge and favourable impact of improved terms in the contract renewals.
Despite lower gross profit, PBT improved by 2.0% or RM35.6 million on the back of lower other expenses due to lower exposure from foreign exchange movement coupled with lower financing costs following early settlement of USD lease liabilities for floating storage units at LNG regasification terminal in Sg. Udang, Melaka, and higher share of profit from joint venture companies.
Profit for the period increased to RM1.378 billion from the RM1.232 billion it achieved the previous year, this was in tandem with higher PBT coupled with lower tax expenses. The corresponding period tax expense was higher as a result of the imposition of Prosperity Tax for year of assessment 2022.
